Nintendo: Apple Is More Significant Threat Than Microsoft.

The president of Nintendo's America's business unit considers Apple and its iPhone and iPad platforms a much heavier threat than mighty Microsoft. The reason? Those platforms are appealing to all types of customers, which is why there may be more gaming content overtime for Apple's devices than for Nintendo's .

"The iPod and iPhone are great for casual games like 'Angry Birds' that provide a welcome distraction. Games on the Nintendo DS, by contrast, can consume. Do I think that in the near term [Apple's platforms] can hurt us more than Microsoft? Absolutely," said Reggie Fils-Aime, the president of Nintendo of America, in an interview with Forbes.

Interestingly, but Mr. Fils-Aime did not mention the potential of Google Android-based handsets, which are gaining grounds in terms of sales in the U.S. Potentially, this points to the fact that Apple's and Nintendo's customers are eager to pay more for additional software than those, who use an Android-based phone.

Nintendo does dominate in sales of video games nowadays, but it does dominate in sales of casual games, a market that it cannot let go. Yet, Apple enables thousands of developers to create tens of thousands of entertainment programs that can be sold per $1. Perhaps, this is what Nintendo hates selling its exclusive titles from $20 a piece?

Discussion

Well, that is because both Nintendo and Apple do not have serious gaming machines. They are both for niche markets and are absolutely on the low end of the spectrum.

Microsoft directly competes with Sony as they have more serious gaming machines. Whats interesting tho is it seems Nintendo may be a little nervous about Kinect and are trying to down play it to investors perhaps.

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You know what is niche? The hardcore gaming market. Which is why Apple surpassed Sony's handheld gaming revenues in 2009. And you can be sure Apple's margins are better too, by going pure digital distribution. And the effort Apple have put into the gaming market? Next to zero so far.

I'm sure the investors will really take it to heart that Nintendo consider the most valuable tech firm in the world a greater competitor than the second most valuable.